CARRIER GLOBAL CORP (CARR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CARR - US14448C1045 - Common Stock
55.21 USD
-0.17 (-0.31%)
55.68 USD
+0.47 (+0.85%)
We assign a fundamental rating of 4 out of 10 to CARR. CARR was compared to 42 industry peers in the Building Products industry. While CARR is still in line with the averages on profitability rating, there are concerns on its financial health. CARR is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- CARR had positive earnings in the past year.
- In the past year CARR had a positive cash flow from operations.
- CARR had positive earnings in each of the past 5 years.
- CARR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of CARR (10.46%) is better than 71.43% of its industry peers.
- CARR's Return On Equity of 27.45% is amongst the best of the industry. CARR outperforms 83.33% of its industry peers.
- CARR's Return On Invested Capital of 5.09% is on the low side compared to the rest of the industry. CARR is outperformed by 73.81% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for CARR is below the industry average of 12.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.46% | ||
| ROE | 27.45% | ||
| ROIC | 5.09% |
ROA(3y)10.88%
ROA(5y)9.38%
ROE(3y)33.63%
ROE(5y)31.44%
ROIC(3y)8.06%
ROIC(5y)7.66%
1.3 Margins
- Looking at the Profit Margin, with a value of 18.05%, CARR belongs to the top of the industry, outperforming 92.86% of the companies in the same industry.
- In the last couple of years the Profit Margin of CARR has grown nicely.
- CARR has a Operating Margin (11.00%) which is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of CARR has declined.
- CARR has a Gross Margin (27.36%) which is in line with its industry peers.
- CARR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11% | ||
| PM (TTM) | 18.05% | ||
| GM | 27.36% |
OM growth 3Y-5.06%
OM growth 5Y-4.9%
PM growth 3Y45.61%
PM growth 5Y16.99%
GM growth 3Y-2.78%
GM growth 5Y-1.79%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CARR is destroying value.
- The number of shares outstanding for CARR has been increased compared to 1 year ago.
- Compared to 5 years ago, CARR has more shares outstanding
- CARR has a better debt/assets ratio than last year.
2.2 Solvency
- CARR has an Altman-Z score of 2.47. This is not the best score and indicates that CARR is in the grey zone with still only limited risk for bankruptcy at the moment.
- The Altman-Z score of CARR (2.47) is worse than 78.57% of its industry peers.
- The Debt to FCF ratio of CARR is 8.45, which is on the high side as it means it would take CARR, 8.45 years of fcf income to pay off all of its debts.
- CARR's Debt to FCF ratio of 8.45 is on the low side compared to the rest of the industry. CARR is outperformed by 64.29% of its industry peers.
- CARR has a Debt/Equity ratio of 0.78. This is a neutral value indicating CARR is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.78, CARR is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 8.45 | ||
| Altman-Z | 2.47 |
ROIC/WACC0.56
WACC9.05%
2.3 Liquidity
- A Current Ratio of 1.14 indicates that CARR should not have too much problems paying its short term obligations.
- CARR has a Current ratio of 1.14. This is amonst the worse of the industry: CARR underperforms 90.48% of its industry peers.
- CARR has a Quick Ratio of 1.14. This is a bad value and indicates that CARR is not financially healthy enough and could expect problems in meeting its short term obligations.
- CARR has a worse Quick ratio (0.75) than 88.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
- The earnings per share for CARR have decreased by -0.36% in the last year.
- CARR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.27% yearly.
- CARR shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -22.93%.
- CARR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.86% yearly.
EPS 1Y (TTM)-0.36%
EPS 3Y7.25%
EPS 5Y20.27%
EPS Q2Q%-12.99%
Revenue 1Y (TTM)-22.93%
Revenue growth 3Y2.94%
Revenue growth 5Y3.86%
Sales Q2Q%-6.77%
3.2 Future
- The Earnings Per Share is expected to grow by 11.59% on average over the next years. This is quite good.
- Based on estimates for the next years, CARR will show a small growth in Revenue. The Revenue will grow by 5.00% on average per year.
EPS Next Y-3.31%
EPS Next 2Y4.14%
EPS Next 3Y7.37%
EPS Next 5Y11.59%
Revenue Next Year-3.71%
Revenue Next 2Y-0.13%
Revenue Next 3Y1.93%
Revenue Next 5Y5%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- CARR is valuated rather expensively with a Price/Earnings ratio of 19.86.
- Compared to the rest of the industry, the Price/Earnings ratio of CARR is on the same level as its industry peers.
- When comparing the Price/Earnings ratio of CARR to the average of the S&P500 Index (27.30), we can say CARR is valued slightly cheaper.
- The Price/Forward Earnings ratio is 18.18, which indicates a rather expensive current valuation of CARR.
- CARR's Price/Forward Earnings ratio is in line with the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 24.04. CARR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.86 | ||
| Fwd PE | 18.18 |
4.2 Price Multiples
- CARR's Enterprise Value to EBITDA is on the same level as the industry average.
- The rest of the industry has a similar Price/Free Cash Flow ratio as CARR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.95 | ||
| EV/EBITDA | 15.45 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.98
EPS Next 2Y4.14%
EPS Next 3Y7.37%
5. Dividend
5.1 Amount
- CARR has a Yearly Dividend Yield of 1.78%.
- Compared to an average industry Dividend Yield of 0.70, CARR pays a better dividend. On top of this CARR pays more dividend than 85.71% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.92, CARR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
- CARR has been paying a dividend for over 5 years, so it has already some track record.
- CARR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
- CARR pays out 18.56% of its income as dividend. This is a sustainable payout ratio.
DP18.56%
EPS Next 2Y4.14%
EPS Next 3Y7.37%
55.21
-0.17 (-0.31%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)10-28 2025-10-28/bmo
Earnings (Next)02-09 2026-02-09/amc
Inst Owners87.14%
Inst Owner Change0.37%
Ins Owners6.1%
Ins Owner Change2.52%
Market Cap46.50B
Revenue(TTM)22.06B
Net Income(TTM)3.98B
Analysts78.06
Price Target73.43 (33%)
Short Float %1.41%
Short Ratio1.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
Yearly Dividend0.78
Dividend Growth(5Y)N/A
DP18.56%
Div Incr Years4
Div Non Decr Years4
Ex-Date01-20 2026-01-20 (0.24)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.53%
Min EPS beat(2)-0.24%
Max EPS beat(2)15.31%
EPS beat(4)3
Avg EPS beat(4)7.55%
Min EPS beat(4)-0.24%
Max EPS beat(4)15.31%
EPS beat(8)6
Avg EPS beat(8)5.54%
EPS beat(12)9
Avg EPS beat(12)4.93%
EPS beat(16)13
Avg EPS beat(16)6.21%
Revenue beat(2)0
Avg Revenue beat(2)-1.75%
Min Revenue beat(2)-1.83%
Max Revenue beat(2)-1.67%
Revenue beat(4)0
Avg Revenue beat(4)-2.28%
Min Revenue beat(4)-4.33%
Max Revenue beat(4)-1.31%
Revenue beat(8)0
Avg Revenue beat(8)-4%
Revenue beat(12)2
Avg Revenue beat(12)-2.9%
Revenue beat(16)4
Avg Revenue beat(16)-2.03%
PT rev (1m)-0.59%
PT rev (3m)-8.08%
EPS NQ rev (1m)0.53%
EPS NQ rev (3m)-28.82%
EPS NY rev (1m)0.27%
EPS NY rev (3m)-8.13%
Revenue NQ rev (1m)-0.37%
Revenue NQ rev (3m)-5.32%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-2.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.86 | ||
| Fwd PE | 18.18 | ||
| P/S | 2.11 | ||
| P/FCF | 32.95 | ||
| P/OCF | 24.62 | ||
| P/B | 3.2 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.45 |
EPS(TTM)2.78
EY5.04%
EPS(NY)3.04
Fwd EY5.5%
FCF(TTM)1.68
FCFY3.03%
OCF(TTM)2.24
OCFY4.06%
SpS26.19
BVpS17.23
TBVpS-9.18
PEG (NY)N/A
PEG (5Y)0.98
Graham Number32.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.46% | ||
| ROE | 27.45% | ||
| ROCE | 8% | ||
| ROIC | 5.09% | ||
| ROICexc | 5.34% | ||
| ROICexgc | 23.15% | ||
| OM | 11% | ||
| PM (TTM) | 18.05% | ||
| GM | 27.36% | ||
| FCFM | 6.4% |
ROA(3y)10.88%
ROA(5y)9.38%
ROE(3y)33.63%
ROE(5y)31.44%
ROIC(3y)8.06%
ROIC(5y)7.66%
ROICexc(3y)10.45%
ROICexc(5y)9.61%
ROICexgc(3y)34.91%
ROICexgc(5y)29.9%
ROCE(3y)12.67%
ROCE(5y)12.04%
ROICexgc growth 3Y11.52%
ROICexgc growth 5Y4.64%
ROICexc growth 3Y-15.42%
ROICexc growth 5Y-8.97%
OM growth 3Y-5.06%
OM growth 5Y-4.9%
PM growth 3Y45.61%
PM growth 5Y16.99%
GM growth 3Y-2.78%
GM growth 5Y-1.79%
F-Score5
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 8.45 | ||
| Debt/EBITDA | 3.07 | ||
| Cap/Depr | 37.85% | ||
| Cap/Sales | 2.17% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 51.21% | ||
| Profit Quality | 35.43% | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 2.47 |
F-Score5
WACC9.05%
ROIC/WACC0.56
Cap/Depr(3y)74.81%
Cap/Depr(5y)83.81%
Cap/Sales(3y)2.12%
Cap/Sales(5y)1.96%
Profit Quality(3y)66.45%
Profit Quality(5y)76.55%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.36%
EPS 3Y7.25%
EPS 5Y20.27%
EPS Q2Q%-12.99%
EPS Next Y-3.31%
EPS Next 2Y4.14%
EPS Next 3Y7.37%
EPS Next 5Y11.59%
Revenue 1Y (TTM)-22.93%
Revenue growth 3Y2.94%
Revenue growth 5Y3.86%
Sales Q2Q%-6.77%
Revenue Next Year-3.71%
Revenue Next 2Y-0.13%
Revenue Next 3Y1.93%
Revenue Next 5Y5%
EBIT growth 1Y-5.35%
EBIT growth 3Y-2.27%
EBIT growth 5Y-1.23%
EBIT Next Year22.29%
EBIT Next 3Y10.64%
EBIT Next 5Y8.53%
FCF growth 1Y-38.44%
FCF growth 3Y-42.28%
FCF growth 5Y-27.03%
OCF growth 1Y-29.2%
OCF growth 3Y-26.64%
OCF growth 5Y-15.1%
CARRIER GLOBAL CORP / CARR FAQ
Can you provide the ChartMill fundamental rating for CARRIER GLOBAL CORP?
ChartMill assigns a fundamental rating of 4 / 10 to CARR.
Can you provide the valuation status for CARRIER GLOBAL CORP?
ChartMill assigns a valuation rating of 2 / 10 to CARRIER GLOBAL CORP (CARR). This can be considered as Overvalued.
How profitable is CARRIER GLOBAL CORP (CARR) stock?
CARRIER GLOBAL CORP (CARR) has a profitability rating of 5 / 10.
What is the financial health of CARRIER GLOBAL CORP (CARR) stock?
The financial health rating of CARRIER GLOBAL CORP (CARR) is 2 / 10.
How sustainable is the dividend of CARRIER GLOBAL CORP (CARR) stock?
The dividend rating of CARRIER GLOBAL CORP (CARR) is 5 / 10 and the dividend payout ratio is 18.56%.